TPM Focus

Many companies claim to be customer-focused but often lack a thorough understanding of their customer's needs and behaviors.

What are you using to measure how well you're doing?

We recommend, at the minimum, metrics like Net Promoter Score (NPS) to gauge customer sentiment and loyalty.

If you were to measure today, what do you think they'd say?

The AI-powered future is fast approaching.

Are you preparing?

We are working with clients to help them figure out where applications of AI are likely to be relevant to their business operations.

Here's another indication that the tech world is preparing for AI:

"The owners of roughly a third of U.S. nuclear-power plants are in talks with tech companies to provide electricity to new data centers needed to meet the demands of an artificial-intelligence boom." ~ WSJ

https://www.wsj.com/business/energy-oil/tech-industry-wants-to-lock-up-nuclear-power-for-ai-6cb75316?

Exclusive | Tech Industry Wants to Lock Up Nuclear Power for AI The largest tech companies are looking to buy nuclear power directly from plants, which could meet their huge needs but sap the grid of critical resources.

Consider the rise of AI-powered tools like ChatGPT, Perplexity, and others.

Many of us are now willingly paying for these services.

But what are we really paying for?

At their core, these tools are enhanced search engines - they're accessing, processing, and presenting information more quickly and efficiently than traditional search.

This shift reveals a crucial insight about innovation and commercialization:

Enhanced Value: These AI tools offer a superior search experience - faster, more comprehensive, and often with direct answers rather than just links.

Time Efficiency: They save us valuable time by synthesizing information from multiple sources.

Customization: Many offer personalized responses tailored to our specific queries.

Novel Capabilities: They can perform tasks traditional search engines can't, like writing, coding, or analysis.

What we're witnessing is a masterclass in product evolution and monetization.

The tech industry has effectively transitioned us from free, basic search to paid, enhanced search - not by directly charging for existing services, but by introducing new, more powerful tools that we perceive as worth paying for.

This transformation highlights a key principle of innovation: often, the market doesn't explicitly ask for new solutions because it can't envision what's possible.

Have you found value in paid AI tools vs the legacy versions?

Send a message to learn more

Here we'll breakdown a term that affect many SMBs, but few understand it...

That term is NRR.

NRR stands for Net Revenue Retention.

It is a metric that shows how much recurring revenue from existing customers grows or shrinks over time, accounting for upsells, cross-sells, and churn (customers leaving).

Why is this important to know?

1️⃣ Revenue Growth: NRR shows how much recurring revenue you're retaining and growing from existing customers. High NRR means you're not just keeping customers, but they're spending more over time.

2️⃣ Customer Loyalty: Who doesn't love a loyalty customer?!?!
A strong NRR indicates high customer satisfaction and loyalty. It reflects your ability to keep customers engaged and coming back for more.

3️⃣ Financial Health: Trying to raise money? Want to attract impress investors?
Well, investors and stakeholders look at NRR to gauge the financial stability and growth potential of your business. A high NRR can attract investment and support.

4️⃣ Cost Efficiency: Acquiring new customers is often more expensive than retaining existing ones. High NRR means you’re maximizing the value of your current customer base, reducing the need for costly new customer acquisition.

5️⃣ Sustainable Growth: Focusing on NRR helps you build a solid foundation for long-term, sustainable growth. It ensures your business can withstand market fluctuations and competitive pressures.

We help SMBs enhance their NRR through tailored strategies that improve customer retention and drive internal growth.

Reach out for details.

Let's say you're in a large, fragmented market...

Is your business in a race to the bottom or a race to the top?

𝗪𝗶𝘁𝗵𝗼𝘂𝘁 𝗱𝗶𝗳𝗳𝗲𝗿𝗲𝗻𝘁𝗶𝗮𝘁𝗶𝗼𝗻, 𝗯𝘂𝘀𝗶𝗻𝗲𝘀𝘀𝗲𝘀 𝗿𝗶𝘀𝗸 𝗯𝗲𝗶𝗻𝗴 𝘀𝘁𝘂𝗰𝗸 𝗶𝗻 𝗮 𝗰𝗼𝗺𝗽𝗲𝘁𝗶𝘁𝗶𝘃𝗲 𝗿𝗮𝗰𝗲 𝘁𝗼 𝘁𝗵𝗲 𝗯𝗼𝘁𝘁𝗼𝗺.

If you can't figure out how to differentiate, you'll certainly be in a race to the bottom with little opportunity to generate profits.

𝗪𝗵𝘆 𝗶𝘀 𝗱𝗶𝗳𝗳𝗲𝗿𝗲𝗻𝘁𝗶𝗮𝘁𝗶𝗼𝗻 𝗰𝗿𝘂𝗰𝗶𝗮𝗹?

In a crowded market, customers have varying needs and preferences.
This diversity allows businesses to carve out unique niches and tailor their offerings to specific segments.

By understanding and catering to these unique requirements, companies can stand out and command higher prices, thus improving their margins.

🤔𝗛𝗼𝘄 𝗰𝗮𝗻 𝘆𝗼𝘂 𝗱𝗶𝗳𝗳𝗲𝗿𝗲𝗻𝘁𝗶𝗮𝘁𝗲 𝗲𝗳𝗳𝗲𝗰𝘁𝗶𝘃𝗲𝗹𝘆?

➡️Understand your customer deeply:

Conduct thorough market research to identify unmet needs and preferences.

➡️Innovate continuously:

Stay ahead of the competition by offering new and improved products or services.

➡️Build a strong brand:

Create a compelling brand story that resonates with your target audience.

➡️Leverage technology:

Use technology to enhance your offerings and customer experience.In summary, a large, fragmented market offers immense potential for those who can effectively differentiate their products or services.

Again...𝗪𝗶𝘁𝗵𝗼𝘂𝘁 𝗱𝗶𝗳𝗳𝗲𝗿𝗲𝗻𝘁𝗶𝗮𝘁𝗶𝗼𝗻, 𝗯𝘂𝘀𝗶𝗻𝗲𝘀𝘀𝗲𝘀 𝗿𝗶𝘀𝗸 𝗯𝗲𝗶𝗻𝗴 𝘀𝘁𝘂𝗰𝗸 𝗶𝗻 𝗮 𝗰𝗼𝗺𝗽𝗲𝘁𝗶𝘁𝗶𝘃𝗲 𝗿𝗮𝗰𝗲 𝘁𝗼 𝘁𝗵𝗲 𝗯𝗼𝘁𝘁𝗼𝗺.

Focus on creating unique value for your customers to achieve sustainable growth and profitability.

Where will HUMANS fit into this upcoming future of AI usage in most parts businesses?

➡️ HUMAN participation will be in the form of judgment and questions that will guide the use of AI for the inputs, processes, and outputs of almost all functions.

How are you thinking about AI and the affect on your business?

When we think about the future, it's tempting to envision a world transformed overnight by AI.

But let's not get ahead of ourselves.

Instead of overextrapolating how and how fast technology will change everything, let's talk about the real, tangible benefits AI brings us today:

➡️Efficiency Boost: AI is already optimizing workflows and increasing productivity.

➡️Data Insights: Businesses are making smarter decisions with data analytics powered by AI.

➡️Customer Experience: Personalized experiences are becoming the norm, thanks to AI-driven insights.

The true power of AI isn't in some distant, speculative future.

It's in the concrete improvements we're witnessing now.

From automating repetitive tasks to uncovering new business insights, AI is here to enhance our present, not just our future.

Here Are Our TOP 3 Tips for Leveraging AI:

1️⃣Start Small: Implement AI in specific areas where you can see immediate benefits.

2️⃣Focus on Data: Good AI needs good data. Ensure your data is clean and well-organized.

3️⃣Stay Updated: AI is rapidly evolving. Keep learning and stay informed about the latest advancements.

The future is exciting, but today is where the action is.

What's one way AI has or will impact your business?

Does your brand speak to the mind 🧠 or the heart ❤️?

Knowing whether your brand appeals to rational decision-making or emotional connections can make all the difference.

➡️It's about understanding WHO your customers are and WHY they choose you.

We talk alot about the WHO and the WHY in business.

Answering those questions unveils important insights to create a sustainable business.

At TPM Focus, we specialize in aligning our clients business strategies and tactics to ensure ideal customers are targeted and their message resonates to effectively scale their business.

When an advertisement for a business says "We provide high-quality..."
what is the first thing you think of?

Expensive?
Exclusive?
Reliability?
Great Customer Satisfaction?
Excellence?

This is how positioning and your messaging intertwines to form your initial brand.

Now, how you deliver on that brand promise will determine your TRUE BRAND (what other people say and believe about you).

This is part of the work we do at TPM Focus with clients.
Reach out for assistance with your new product launch.

Tpmfocus.com

TPM Focus - Revenue-Focused Strategy for Startups and SMBs TPM Focus is a revenue-focused strategy consulting firm helping startups and SMB's create innovative, thriving, and profitable companies. The Profit Matters. Focus.

🌐 Why Aren't QR Codes More Popular

A question was posed about QR codes and why they aren't used more in banking and financial services, particularly as a replacement for check-writing.

While we can go on an on about why this isn't prevalent in 2024 (guiding our Clients on tech considerations is part of what we do at TPM Focus 😀), we'll keep it short by saying, yes, QR codes have revolutionized various industries BUT their adoption in fintech, particularly for money transfers and replacing written checks, remains limited (and will for a while!).

Here are some key reasons:

➡ Security Concerns: QR codes can be vulnerable to fraud and scams, leading to potential security risks in financial transactions.

➡ User Adoption: Many users and businesses are not yet familiar with using QR codes for financial purposes, which poses a significant adoption barrier.

➡ Regulatory Challenges: Implementing QR code systems requires compliance with complex financial regulations.

➡ Competition: Traditional payment methods like checks and electronic transfers are well-established and trusted.

➡ Infrastructure: The necessary hardware and software infrastructure for QR code payments is not universally available.

At TPM Focus, we understand that choosing the right technology is crucial for your market entry strategy.

Our expert team helps clients navigate the tech landscape, ensuring they invest in solutions that align with their business goals and market demands.

We analyze your needs, assess potential risks, and provide tailored recommendations so you can avoid wasting time, resources, and effort on the wrong path.

Ready to make informed tech choices for your business? Let's connect and drive your success!

Send a message to learn more

Here's the TPM Focus tea for companies that are innovating:

Your Business Needs a Customer Advisory Board Now

Here's more on why you should take action immediate--> https://tpmfocus.com/customer-advisory-boards/

Strategy Alert: Have You Considered Customer Advisory Boards To Unlock Your Growth? - TPM Focus Using CABs, or customer advisory boards, in your strategy is like having a team of trusted advisors who can provide valuable insights into customer needs and market trends. Learn the ins and outs of using them in your business.

Our foundation is in LEAN.

TPM Focus is a revenue-focused business strategy firm for tech startups launching new innovations and SMBs entering new markets to gain traction by aligning their technology, marketing, sales, and customer success
efforts with financial goals!

We use lean methodologies (and suggest our clients to use them too!) to minimize wasting time, money, and resources going in the wrong direction.

Lean is a MINDSET that helps you make smarter decisions about how to invest your time, energy, and money:
Oftentimes this is HARD to do internally and you need outside help.

Is this something you're challenged with right now?

Here are some ways we can help you get started on changing this:

--> Consultation: Schedule a consultation with us todiscuss your needs and objectives

⁃> Assessment: Let us conduct our Phase 1 Assessment to identify the gap between where you are and where you want to be. We will pinpoint immediate areas for improvement.

-> Customized Strategy: Receive a tailored strategy that meets your specific business conditions and market dynamics.

Lean methodology is not a new concept, but its modern application to business is constantly evolving.

Lean into the future with TPM Focus and turn your strategic goals into reality. Because when your foundations are strong, the sky's the limit.

Tpmfocus.com

Fanduel sold for hundreds of millions of dollar.

How much did the founders receive?

Nothing.

Startup founders: Don't let this be you.

Here's a resource to help you understand some critical information about fundraising.

https://www.fundablestartups.com/blog/half-a-billion

Sell Your Startup for Half a Billion and Get Nothing Most founders don't know how liquidation preferences can enrich investors at the expense of startup employees. Visualize acquisition payouts with our free tool.

Let's talk about partnerships---> Oftentimes businesses set up channel partners incorrectly and wonder why they don't add to their sales as expected.

Channel partnerships can be a 💰 goldmine 💰 when executed correctly.

Here are a two ways to optimize these relationships:

1. Co-Branded Marketing Campaigns:

This is pretty self-explanatory, but here are the ex*****on steps:

--Identify the target audience that overlaps between your business and the channel partner.

--Develop a co-branded marketing campaign, including assets such as digital ads, social media posts, and email newsletters.

--Consider how you'll share the costs and responsibilities for the campaign.

--Measure the ROI and adjust the campaign as needed.

2. Sales Training and Enablement:

This is a MAJOR part of success that most companies miss, but here are the ex*****on steps:

--Create a training program that educates the channel partner's sales team on your product(s).

--Use interactive methods like role-playing and quizzes.

--Provide them with sales collateral like pitch decks and objection-handling scripts.

--Monitor performance and offer additional training as needed.

This all requires ongoing effort and should never stop for the best outcomes from the relationship.

Did you know: Approximately 75% of companies use the cost-plus pricing method when determining prices for their products and services?

Shocking!

You see, the cost-based approach can have SEVERE ⚠️ disadvantages if you don't really know your target customers' behavior, needs, and psychographics.

For many industries, the customers are constantly evolving.

For some industries---mainly commodities--cost-plus pricing makes sense.
Outside of that, it doesn't.

We advise against using this strategy with 99% of our clients.

➡️ Reach out if you need help with your strategy.

TPM Focus - Revenue-Focused Strategy for Startups and SMBs

TPM Focus - Revenue-Focused Strategy for Startups and SMBs TPM Focus is a revenue-focused strategy consulting firm helping startups and SMB's create innovative, thriving, and profitable companies. The Profit Matters. Focus.

As Strategyzer states:
"Before jumping feet-first into ANY new idea/venture, ask yourself:

➡️ Desirability: Do customers want it?
➡️ Feasibility: Can we build it?
➡️ Viability: Does it make financial
sense?
➡️ Adaptability: How does it fit into your current model? "

How many reading this post whether a startup or an SMB, actually goes through this thought process?

"...there is a world of difference between purpose and impact.

It is difficult to challenge a purpose.

If a company says its reason for existing in some form or fashion is to try to make the world a better place, how can you pressure-test that claim?

But if you are claiming that you are making an impact, then you need proof.

And that’s what makes a statement powerful.

Goals and targets should not be disconnected from the actual work of the company.

They should be tied more directly to the strategy of the organization, so that the purpose and the strategy feel more integrated."
~Adam Bryant

➡️HAVE YOU DETERMINED THE IMPACT YOU WANT YOUR COMPANY TO HAVE?

➡️ARE YOU IN BUSINESS FOR A BIGGER CAUSE THAN CAPITALISM?

Reminder: The strategy and tactics are different when you are a startup vs an established business with product market fit.

All of this advice online doesn't apply to you at your company stage.

Do you have a good product manager? Do you know how "good" is defined for product managers? Here's one way --->

"Good product managers know the market, the product, the product line, and the competition extremely well and operate from a strong basis of knowledge and confidence.

A good product manager is the CEO of the product.

Good product managers take full responsibility and measure themselves in terms of the success of the product.

They are responsible for right product/ right time and all that entails.

A good product manager knows the context going in (the company, our revenue funding, competition, etc.), and they take responsibility for devising and executing a winning plan (no excuses)."

from "The Hard Thing About Hard Things: Building a Business When There Are No Easy Answers" by Ben Horowitz

A lot of companies won't be able

to raise from venture capitalists

without demonstrating a credible

go-to-market (GTM) strategy-- No

matter how good an idea.

Anything otherwise is a dangerous

gamble for investors.

It's not that it will be impossible to raise

capital; but you make it a difficult bet for

investors.

➡️ You'll want to do all you can to minimize (or minimize the perception)
of failure for your business, especially when you're involving investors.

We help with this process.
Reach out for details on how we can work together.

What does an effective customer success strategy look like? 👇

A successful customer success strategy is:

1/ a COMPREHENSIVE program

2/ meant to help you MINIMIZE CHURN and OPTIMIZE your REVENUE from existing customers.

The 3 types of business reviews used for customer success strategies are:

- Customer Success Scorecards
- Customer Success Reviews
and
- Managing Defections

And all of these reviews work together to continually drive your customer's success.

What are Customer Success Scorecards used for?
---> They are used to attribute key business metrics (i.e., MRR, Churn, Up-sells) back to individual customer accounts.
These stats help you understand and measure the success within your company.

What are Customer Success Reviews used for?
---> They are used to help prioritize actions that will grow the value of each account by keeping them engaged, motivated and achieving success.

What are Managing Defections Reviews used for?
---> You should use them to review the reasons for customer churn in order to better prepare you for when it does happen. That way you can address this using a proactive approach instead of waiting until it happens and reacting to fix a problem in your customer base.

Lesson: Be proactive, not reactive.

Would you like our template for a Customer Success Scorecard?

Connect with us at https://buff.ly/3ErBnGO

TPM Focus - Revenue-Focused Strategy for Startups and SMBs TPM Focus is a revenue-focused strategy consulting firm helping startups and SMB's create innovative, thriving, and profitable companies. The Profit Matters. Focus.

This is how you'll lose 👇

Overusing discounts as your strategy.

You see, when you continually discount your products or services, it becomes normal.

Chances are, you’ll also see other companies start to offer sales and discounts.

Your prices will eventually become similar, and you’ll start losing your competitive

advantage.

That's why our CEO always says, "Discounting is a race to the bottom."

We want you to be on top.

Want to chat about your revenue strategy?

Did you know we work with high growth startups AND small businesses?

In fact....

Economic Development authorities in cities across the country rely on us to support their mission of spurring local and global economic growth.

With our expertise in business strategy and ex*****on, we help small and medium-sized businesses become more profitable, sustainable, and competitive to ensure they are equipped to compete in today's ever-changing marketplace.

Need help for your portfolio of small businesses?
Feel free to reach out.

Want a "Get Rich Quick" template for your startup?

This blueprint emphasizes rapid financial success for startups. It focuses on revenue generation, profit maximization, innovation, and strategic planning. Keep a strong focus on profitability and strategic innovation for startup success.

Getting Rich Quick: Leveraging Revenue And Profit Strategies For Startup Success - TPM Focus Startups must move beyond the idea of “burn and churn” when it comes to their business models and instead focus on profit strategies.

ChatGPT can now respond with images and search the web 😲

This will certainly impact the productivity in your business.

Learn more here

ChatGPT can now respond with images and search the web OpenAI has officially launched real-time internet browsing and image generation for ChatGPT — but it has been a significantly bumpy ride.

ChatGPT can finally get up-to-date answers from the internet! 🎉🎉🎉

Before, the chatbot's search capabilities were largely limited to data up to September 2021.

However, OpenAI recently updated the system, adding five unique voice features for conversational interaction.

Now, ChatGPT-Plus subscribers can tap into up-to-date data for both in-depth research and quick information retrieval.

The cost for a Plus subscription is $20 a month. (Source: TechRadar)

All of our clients are using ChatGPT in some way, even if small, as it makes them more productive.

How have you incorporated it into your business? Or have you?

TPM Focus clients are concentrating on making it to the top ranks of their industries, and to do that, they understand that their focus must be on revenue engine optimization.

What drives a business to the top of an industry?
➡️Customers.

How does a business attract customers? ➡️Marketing.

How does a business engage customers to buy?
➡️Sales.

What do companies use to facilitate communication, maintain contact records, manage customer service, marketing automation, analytics, and application development?
➡️Technology.

How do companies ensure customer satisfaction?
➡️Customer success strategy.

You must ensure it's all aligned.

That's what we do for our clients and ensure it adds to the bottom line.

Reach out if you need help.

People are willing to pay based on the value (perceived value) they receive from your product/service.

Many times founders can't get customers because their positioning and messaging is wrong.

Diagnosing the root cause of what's happening with your revenue engine and fixing it is critical to your success.

And keep in mind ➡️ the tweaking never ends.

●Customer preferences and needs change.

●The market changes.

●Your competitors change.

Be vigilant and ready to adjust accordingly.